Car Charity

Donating A Car To Charity

If you've thought about donating your auto to a car charity, don't hesitate. Donating is easy. Along with the good feeling that comes from having done something good, you might also qualify for a nice tax break. More than ever, the process for giving your car to a charity is very simple. One thing you won't have to do is argue about the price.

Car charities don't just accept cars. Many also accept trucks, vans, RVs, boats, trailers, planes and motorcycles. If you're worried that everyone donates their cars, don't worry. Car charities say they can't keep up with the request for quality used cars. Of course, these car charities need your donations. By donating your car, you help the car charity fund its programs.

If you qualify, the tax deduction can also come in handy at the end of the year. To qualify you must be able to itemize your deductions on your tax return. Check with your accountant to see if you qualify. Make sure you get a receipt from the car charity. The receipt will include three things: the car's value, the charity's name and donation date. The receipt is essential, especially in the case of an IRS or state audit.

Unfortunately, you can't just take the Kelly Blue Book value for the car anymore. You have to wait until the charity sells your car. Then you can only deduct up to the amount of the sale. If you're just in it for the good feeling, the tax deduction is just a bonus anyway. But, not everyone can deduct their donated car. You have to be able to itemize your deductions.

How do you figure out how much to deduct? If the car is $500 or less, you can deduct the whole thing. If the charity keeps the car and uses it for its own purposes, you can take the full market price as a tax deduction. If this happens, you can then use the value of your car found in the Kelley Blue Book.

One last thing to remember - You must have the title. There are some car charities that will accept a donation without a title, but most will not. At the time of the donation, you'll give the charity the title, the keys, and all of the paperwork.

Donating a car is a simple process. Donating to a car charity is less time-consuming and more cost effective that selling it on your own. It's simple. You make a positive contribution to your community. You may qualify for a significant tax deduction.

By: Chris Roberts

Article Directory: http://www.articledashboard.com

Chris Roberts writes for Car Buying Guide Online. Don't miss his articles on Car Auctions and Car Insurance.

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